The Democratic Party of Japan has no plans to diversify the country's foreign reserves away from the dollar if it wins next month's election, DPJ Secretary General Katsuya Okada said.
Okada played down comments by Masaharu Nakagawa, the party's shadow finance minister, that Japan needs to consider avoiding foreign-exchange risk by diversifying away from U.S. bonds. Japan has almost $1 trillion in currency reserves and is the second-biggest foreign holder of U.S. Treasuries after China.
"That's not officially approved party policy," Okada, 55, said in a recent interview.